Minor Building Works Dynamic Purchasing System in preparation
LPP has published an OJEU notice in preparation for the launch of a Minor Works Dynamic Purchasing System, to be available to all public sector organisations and to facilitate opportunities for Small and Medium sized Enterprises involved in building and construction trades to work for the public sector.
The DPS is planned to go live in January 2016. Unlike a traditional framework, suppliers can apply to join the DPS at any stage during its lifetime. It is primarily for works valued under £500,000k, and covers the following broad categories:
Brick And Blockwork
Building (Design & Construct)
Building (Multi Storey Car Parks) to include maintenance
Building (Prefabricated/Temporary) Supply & Install
Building Construction Work
Building Refurbishment Over £15k
Building Repairs And Improvements (Max Notation £15k)
Building Services Maintenance (M & E)
Electrical Installation & Maintenance/Services
Fire Protection (Sprinklers)
Fire Protection-Smoke Vents (Automatic)
Listed Building Work
Office Fit Out
Painting & Decorating (General)
Repair and Maintenance Services
Road Maintenance (Minor Works)
Public sector bodies will be able to use the services of suppliers on the DPS through mini-competition route only.
The DPS is being facilitated through Constructionline, as suppliers registered with Constructionline have already completed the PQQ process. This makes applying to join the DPS much less time consuming, particularly for smaller suppliers.
What is a Dynamic Purchasing System?
A Dynamic Purchasing System (DPS) is a completely electronic system established by a Contracting Authority to purchase commonly used goods, works or services.
A DPS does not operate in the same way as a framework in that it is an ‘open market’ product designed to provide access to a pool of potential providers, and new potential providers can join at any time.
Potential providers wishing to join a DPS complete a standard Pre-Qualification Questionnaire (PQQ).
The completed PQQs are evaluated to establish the Supplier’s general capability for provision of the required works. The evaluation works on a Pass/Fail basis and therefore weightings are not applied. The evaluation reviews aspects of the Supplier’s financial and technical provision and, based on this evaluation, the Supplier is either accepted onto a DPS, or rejected and provided with feedback in order to enable them to re-apply at a later date should they wish to do so.
Individual contracts are awarded by approved users (Contracting Authorities) of the DPS during the second stage of the process. In this stage, the Contracting Authority invites all potential providers on the DPS (who possess the relevant works services category and financial notation within the DPS) to bid for the specific contract.
A DPS was chosen for LPP's Minor Works as the most suitable commercial vehicle following feedback from LPP members and other potential users of the system.
Establishing a DPS with multiple providers will help to create an environment which encourages fair competition, allowing potential providers to join at any time and choose whether to compete for all or any of the requirements for Minor Building Works under the DPS for which they are considered suitable.
A DPS remains open to new Suppliers throughout the period of the agreement. This enables Suppliers who may not be able to meet the selection criteria during the establishment period to review their processes, finances and capabilities and apply for acceptance onto the DPS at a later stage. In addition, it allows (and encourages) existing DPS members to revise their offerings at any stage within the operation of the DPS. This supports small and medium sizes enterprises, or businesses with little or no experience in tendering for work with the public sector.
The flexibility in keeping the DPS agreement open to new Suppliers also benefits our customers. It enables public bodies to promote potential ‘calls for competition under the DPS’ in their geographical region, offering the opportunity to engage with local Potential Providers and support wider aims of working with local businesses for economic growth.
LPP is establishing the DPS to provide the NHS and other public sector organisations with a compliant procurement route for the execution of minor building works projects. The DPS will provide an unlimited number of suitably qualified and experienced Works Contractors (potential providers) for each category of work.
The DPS Agreement will generally apply to minor building Works projects valued up to £500k although some projects may exceed this value.
The objective is to source a greater range of provision, a wide choice of potential providers (including Small and Medium Enterprises) and increased value for money for the taxpayer, in a quicker and more efficient way.
On this occasion, LPP is using Constructionline for its DPS. If Suppliers are already registered with Constructionline, they need only register their interest in the DPS on the Constructionline landing page. There will be no need to complete the full PQQ – simply supply their Constructionline membership number. Suppliers already registered with Constructionline should, however, confirm that the information held by Constructionline on their company is accurate, and that they are registered for the correct work categories and values. They will also be required to provide an agreement to sign up to the DPS Agreement and Call-Off Terms and Conditions, and provide assurances that the requirements of the DPS will be met.
There is no requirement for Suppliers not registered with Constructionline to do so. For Suppliers not already registered with Constructionline, the landing page explains the process of joining the DPS. The first step is for Constructionline to gather preliminary information on the applicant to enable an online DPS account to be created. Once the account has been created (usually within 24 hours),the applicant will be able to complete the Questionnaire in accordance with the Instructions for Submission. They will also be required to provide an agreement to sign up to the DPS Agreement and Call-Off Terms and Conditions, and on assurances that the requirements of the DPS will be met.
To find out more and to apply if you are an interested supplier, please visit the LPP DPS portal.